Financial Freedom is freedom from Fear!
Money gets in all kinds of emotions within us. But the one that is constant throughout is ‘Money Fear’. We fear talking about it, keeping it, investing it etc. So, we generally keep it with ourselves rather that giving it to someone else to manage it for us. This emotion affects our financial decisions as well.
In the beginning of the financial planning process, we talk to clients and understand if there is any fear or emotions attached with their finances. Know their needs and the risk they are willing to take for their financial goals – our punch line says “Achievement of your financial goal is our goal.”
But fear holds people back – let us see what are the five money fears we have observed and how we can overcome them and live a financially stress-free life.
1) Fear of losing money
We work hard to earn money and always want to earn more and save more. Many of us lose money due to a bad investment or a wrong decision. And that’s why we are scared to money decisions.
Instead of thinking about same fears and experiences, it is always better to take small steps toward managing money. You can always take the help of professionals to manage your money. This way, you will be more confident of your financial decisions and avoid making mistakes.
2) Fear of losing job
Salaried people have performance pressure and they fear for their jobs. Specially, during the recession and tough times, companies may lay off people and we could be one of them if not performed well. We cannot be constantly scared of this.
Instead of worrying about getting laid off, it is best to work efficiently. It is important to blend in the culture of the organization that you work in and try to take more responsibilities.
3) Fear of not having enough money
Most of us always feel we will never have enough money considering increased life expectancy and medical emergencies of old age. But this is again irrational fear that hold you back from enjoying your present.
We suggest people to make a financial plan that includes retirement planning as well. The retirement goals should be such that you know how much money you need to sustain the lifestyle that you need when you retire.
4) Fear of making mistakes while managing money
We should take small steps in investment. We should start off with zero or low-risk investments and then gradually move to risky investments keeping in mind your risk-taking ability. You can always take the help of financial planners to make a financial plan and work with them to ensure that you do not mismanage your money. Even if you make mistakes, instead of feeling sorry you should try to understand what happened and how it happened and what learnings one can get from such an experience.
5) Fear of talking about money
Many people are superstitious when it comes to money. We feel we will lose money if we talk about it with others. This is again an irrational fear.
It is important to talk about money with people whom we can trust. Married couples should talk about money, money habits and money choices so that both are aware of how much money is there and how much is needed and what can be done to improve the finances.
If all this is too confusing, then give us an opportunity to help you plan your savings for your financial goals.
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A Good advice is always worth listening!!!
About Us: Malpani Investments specializes in Investment Advisory and Planning. Our Mission is to provide financial freedom to our clients by understanding their financial goals and helping them plan, save, invest and be disciplined, so that they can stop worrying about money and lead a happy and healthy life. We help them understand personal finance in order to eliminate the gap between where they are now financially and where they want to be. Helping them with a suitable investment decision so that they can give more time to their family, health and life aspirations. [email protected] / +91-7738637572